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Then, inexplicably, officials took another five weeks to tell prison staff that he should be set free.

Opening the way for a payment at a later date, Judge Mark Pelling QC said the Board had put forward 'no excuse or explanation' for the delay.

The judge said: 'It is to be inferred that the delay was the result of lack of resources or error or omission. It certainly cannot be characterised as a reasonable action.'

He said keeping Pennington in jail was a breach of the European Convention on Human Rights as it denied him a timely review of his detention.

Several similar legal claims are already lodged at the High Court. Yesterday's ruling is likely to encourage more from prisoners whose cases were held up by the Parole Board.

A spokesman blamed a lack of resources, in particular a shortage of judges willing to work for the Board.

They are required to oversee the oral hearings where IPP prisoners are considered for release.

He said the number of such cases has leapt from 74 to 556 in two years.

More than 1,000 cases were now 'late' for consideration, including prisoners who could have been freed months ago.

Two years ago the Government was blamed for a similar crisis. Funding shortages meant hundreds of IPP inmates could not attend courses they had to complete before being considered for release. This led to successful compensation claims.